Ask Question
BusinessBusiness
27 January, 09:52

On December 27, a business completed a $400 service that had not yet been billed or recorded as of December 31. Demonstrate the required adjusting entry of the business by completing the following sentence. The required adjusting entry would be to debit the (Unearned revenue/Accounts receivable/Cash/Service revenue) account and (debit/credit) the (Unearned revenue/Accounts receivable/Cash/Service revenue) account.

+3
Answers (1)
  1. 27 January, 10:16
    0
    The required adjusting entry would be to debit the Accounts receivable; credit; service revenue

    Explanation:

    When a company provides its goods or services for credit, then the amount that is to be received by the company is termed as Accounts Receivable. In the balance sheet of the company, accounts receivable are reported in the current assets section.

    The sales that are being reported by a company related to the services that it provides to the customers is referred as service revenue. This can be either billed or unbilled in nature until receiving the amount. In the example given the services is not yet billed by the company. hence the required adjusting entry would be to debit the Accounts receivable and credit the service revenue.
Know the Answer?
Not Sure About the Answer?
Find an answer to your question 👍 “On December 27, a business completed a $400 service that had not yet been billed or recorded as of December 31. Demonstrate the required ...” in 📗 Business if the answers seem to be not correct or there’s no answer. Try a smart search to find answers to similar questions.
Search for Other Answers
You Might be Interested in
Pamela applies for a life insurance policy with forever young insurance company. when completing the application form about past surgeries, pamela forgot about a past outpatient surgery when she had an infected hang-nail removed and her toe treated.
Answers (1)
Assume that when the price of a good increases from $45 to $55, the quantity demanded of the good decreases from 275 to 225. What is the price elasticity of demand
Answers (1)
State whether each situation is a prepaid expense (PE), unearned revenue (UR), accrued revenue (AR) or an accrued expense (AE). 1. Unrecorded interest on savings bonds is $245. 2.
No Answers
Draper Company sold $200,000 of extended warranties in 20X8. The warranty represents a separate performance obligation and covers any repairs needed over the next four years. The warranty takes effect on January 1, 20X9.
Answers (1)
The following events pertain to Jasper Corporation:May 1 Jasper purchased office supplies of $3,000 on account. May 5 The office supplies were shipped to Jasper. May 8 Jasper used these office supplies for a one-time event.
Answers (1)
New Questions in Business
Consider this argument: "The kidnappers have taken eight people hostage and are holding them at a farmhouse just outside town. If the SWAT team assaults the farmhouse, the hostages could be killed.
Answers (1)
Rent seeking is an attempt to A. use the government for individual benefit at the expense of others. Regulatory capture is an example of this, where a regulatory agency makes decisions benefiting the firm being regulated. B.
Answers (1)
An Insurance company is a business in which it pays to the company if there is a loss, damage, treatments or injury for the payment of premium amount. It calculates the risks that has occurred and pays to compensate the premium amount.
Answers (1)
Pool Line is the manufacturer of a pool cleaning system that has been called by the pool construction industry, "the miracle we have waited a lifetime for." The cleaning system is very effective and recommended by all consumer magazines.
Answers (1)
Use the following example to answer the following questions: Imagine that Stella deposits $25,000 in currency (which she had been storing in her closet) into her checking account at the bank.
Answers (1)
Home » Business » On December 27, a business completed a $400 service that had not yet been billed or recorded as of December 31. Demonstrate the required adjusting entry of the business by completing the following sentence.
Sign Up Forgot Password?